New Challenges and Power Axes of Latin American Integration: Mercosur – Pacific Alliance Duality (2010–2017)

Abstract

Latin American regional blocs must step up to the challenge of finding a new system for international insertion. It is evident that Mercosur and the rest of the regional blocs do not meet the real needs of global trade and economy. If governments fail to find effective solutions to the structural challenges posed by the new global context, Latin American integration will become isolated under any international context (Mercosur, UNASUR). Political, economic and financial mechanisms need to be modernized because integration is crucial, but such integration needs to address more than just the economic aspect: it is also necessary to improve the living standard in each country, to strengthen democracy and to support self-determination in the region. Special consideration must be given to the Asuncion Treaty, which lists as its primary object “to strengthen development ensuring social justice.” If governments continue prioritizing only the economic aspect, the integration will suffer under the fluctuations of more developed economies. Since 2015, Mercosur/Pacific Alliance has been one of the priorities to drive integration, as it provides an opportunity to boost development and expansion in regional economies. Entering into agreements with the European Union would also be beneficial, but these are more difficult to achieve. While this paper does not deal with this particular topic, it is considered to be one of the great challenges and questions to be addressed by Mercosur as a whole.